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| BitCoin |
What is BitCoins ?
Started in 2008 , bitcoin is a form of digital currency,money that exists in the form of computer code.It do not have any central issuing authority.These virtual currency can be stored in electronic wallets and can be traded on online exchange and converted into cash.It is open source and peer-to-peer network introduced by pseudonymous Satoshi Nakamoto.It uses a public-key cryptography for security hence also called cryptocurrency.
- Within four years of coming into existence, bitcoin has become the world’s most expensive currency and its per unit value soared past $ 1,200 level or about Rs. 63,000 recently, although the prices have now slipped below Rs. 50,000 level.
Latest :
University of Cumbria became first to accept bitcoins in tution fees.
How it works ?
Users send payments through broadcasting digitally signed agreements that transfer ownership of bitcoins.A decentralised network of computer (operator or Miners) verifies and timestamps all transaction through proof-of-work system.These operators are awarded with
transaction fees and newly generated bitcoins.Pros and Cons :
Pro : Low processing fees than credit cards and online transfer.
Cons :
- No issuing authority
- Key based system not 100% tapping proof.
How we can get these ?
- Exchanges where we can buy/sell for flat currency
- Mining
- Transaction between individuals using Bitcoin wallet
- Online content or services paid through the site owner's Bitcoin Wallet
India's Stance :
India's first Bitcoin Conference held by digital currency awareness organisation - CoinMonk , the issue was raised to convince Indian government to value bitcoin as economic innovation and not the medium for money laundering and illegal drug purchases.
RBI so far has remained silence on Bitcoin and adopted "wait and watch" stance .
